A spreadsheet that enables you to calculate both the before and after tax amounts to take from your pension under UFPLS for just £5.
With UFPLS, 25% of your pension withdrawal is tax free (up to the limit of £268,275). So if you wanted to take your personal allowance from your pension, the total amount would be £16,760; the taxable amount would be 75% or £12,570 and the tax free cash would be 25% or £4,190.
But what if you wanted say £30k net from your pension? How much money would you need to take out as a gross amount? And how would this be impacted if you already have income from taxable interest, taxable dividends, side hustle income or a state pension?
I feel like a spreadsheet is needed, so I built one based on the decision engine of my retirement calculator which automatically tax optimises withdrawals for a given amount of required expenditure after tax. An explanatory video is here.
To learn more about the retirement calculator click here.
To learn about the pension withdrawal calculator, watch this video. You can purchase it here for just £5 and it comes with my income tax calculator spreadsheet. For England & Wales only.
Once purchased you will be directed to a landing page containing a link to the file.